Social Sciences, asked by ritiksingh542, 1 year ago

Difference between marshallian hicksian demand

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Answered by shashigundala

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Hicksian demand curves show the relationship between the price of a good and the quantity demanded of it assuming that the prices of other goods and our level of utility remain constant. ... This is whyMarshallian demand curves are more 'stable': they reflect both rent effect and substitution effect.

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